Reopening of 15-yr bond likely on Wednesday

Greece is likely on Wednesday to make its fifth market foray this year with the re-issue of last January's 15-year bond, aiming to capitalize on the favorable climate to boost the state's cash reserves, improve the yield curve and enhance the Greek market's liquidity.

The Public Debt Management Agency (PDMA) on Wednesday ordered five foreign banks (BNP Paribas, Commerzbank, Goldman Sachs, HSBC and JP Morgan) to run the re-issue.

Last January, Greece issued its first 15-year bond in a decade, with offers at coming to an impressive 18.8 billion euros, the interest rate at 1.91% and the coupon at 1.875%.

Finance Minister Christos Staikouras told a parliamentary committee on Wednesday that the aim is for a significantly lower interest rate in the re-issue, with market observers seeing it ranging between 1.15% and 1.25%.

Although the PDMA has not announced...

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